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Daniel Ahmad (Niko Partners): Sony shipped 4.5 million PS5s in 1Q 2024, almost 5x more than Xbox Series X|S according to our estimates


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Xbox recently reported a 31% decline in first quarter hardware revenue…

 

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Sony shipped almost five times as many PS5 consoles as Microsoft did Xbox Series X/S consoles during the first calendar quarter of 2024.

 

That’s according to estimates from sales tracker Niko Partners, shared on X by Daniel Ahmad, the company’s director of research and insights.

 

Sony reported today that it shipped 4.5 million PS5 units during the three months ended in March, taking its lifetime total to 59.3 million.

 

While Microsoft doesn’t report Xbox Series X/S console sales numbers, it confirmed a significant drop in hardware revenue in its earnings report for the first quarter of the year.

 

Activision Blizzard software sales actually helped drive Microsoft’s gaming division to a record quarter, but Xbox hardware revenue declined 31% year-over-year.

 

Having both launched in November 2020, PS5 had outsold Xbox Series X/S by around 2-to-1 as of the end of last year, according to data shared in February by Grand Theft Auto publisher Take-Two.

 

During 2023 alone, PS5 sales outpaced Xbox Series X/S by almost 3-to-1, according to estimates by research firm Ampere Analysis.

 

 

For as much as it's become an "accepted" maxim that Microsoft's primary focus is GamePass and not the physical hardware, there exists absolutely no universe in which this situation can be viewed as anything other than "seriously concerning" at best by the Xbox leadership.

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50 minutes ago, Commissar SFLUFAN said:
 

For as much as it's become an "accepted" maxim that Microsoft's primary focus is GamePass and not the physical hardware, there exists absolutely no universe in which this situation can be viewed as anything other than "seriously concerning" at best by the Xbox leadership.

Gillette long ago learned that you needed to sell a razor, to sell blades for it.  MS is publically pretending this isn't the case with GamePass subscriptions.

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19 minutes ago, AbsolutSurgen said:

Gillette long ago learned that you needed to sell a razor, to sell blades for it.  MS is publically pretending this isn't the case with GamePass subscriptions.

Uh, that analogy might work better in a world where 99% of games weren't made by companies that weren't platform holders. i.e. everyone is making blades but almost no one is making the handles. Unless I misunderstood your meaning. 

 

It's more like their handles weren't selling so they opened up their blades to work on competing handles. Problem is, and really the key problem here, is that their blades have been really subpar overall. 

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21 minutes ago, Xbob42 said:

Uh, that analogy might work better in a world where 99% of games weren't made by companies that weren't platform holders. i.e. everyone is making blades but almost no one is making the handles. Unless I misunderstood your meaning. 

 

It's more like their handles weren't selling so they opened up their blades to work on competing handles. Problem is, and really the key problem here, is that their blades have been really subpar overall. 

The "blades" in this analogy are primarily the 30% they make from selling software on their store/discs and their subscription revenue.

The razor is the Xbox.

Their store sucks on PC, and is non-existent on mobile.  I'm not sure they are selling that many PC-only GamePass subs.  And I haven't followed closely enough on their streaming service to know much about it.  

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3 hours ago, Commissar SFLUFAN said:

 

 

For as much as it's become an "accepted" maxim that Microsoft's primary focus is GamePass and not the physical hardware, there exists absolutely no universe in which this situation can be viewed as anything other than "seriously concerning" at best by the Xbox leadership.


Microsoft always needed console sales: without leverage on PC, it’s where they could best push any initiative forward to change the industry.  I don’t know when it became such a talking point that Games Pass was their only concern, but it’s borne out to be folly.

 

It’s like those who said Nintendo stoped caring about gamers during the Wii era.  You know, after launching it with a new Zelda.  The base is who evangelizes.

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10 minutes ago, AbsolutSurgen said:

The "blades" in this analogy are primarily the 30% they make from selling software on their store/discs and their subscription revenue.

The razor is the Xbox.

Their store sucks on PC, and is non-existent on mobile.  I'm not sure they are selling that many PC-only GamePass subs.  And I haven't followed closely enough on their streaming service to know much about it.  

 

Every PC gamer I knew for at least a couple years had a sub, but I imagine that's changed. Their app does indeed suck and the game selection and release cadence really isn't there anymore. 

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2 minutes ago, Xbob42 said:

 

Every PC gamer I knew for at least a couple years had a sub, but I imagine that's changed. Their app does indeed suck and the game selection and release cadence really isn't there anymore. 

I don't know any PC gamers (who don't have an Xbox) who have the GamePass sub ATM.

 

Given that they only have ~34 million total subs, I would be surprised if any significant number are PC-only subs. 

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On 5/14/2024 at 9:09 PM, Xbob42 said:

 

Every PC gamer I knew for at least a couple years had a sub, but I imagine that's changed. Their app does indeed suck and the game selection and release cadence really isn't there anymore. 

 

I've never had it. Thought about it a few times, but I'd rather own my games indefinitely on Steam.

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